Experian, VW Credit Fraudulent Credit Account Reporting Class Action

Identity theft is becoming an ever-larger problem, with the increasing number of data breaches and their increasing size. The complaint for this class action alleges that Experian Information Solutions, Inc. failed to note on a consumer report that an account with VW Credit, Inc. was disputed, and that it thereby violated the Fair Credit Reporting Act (FCRA).

The class for this action is all persons whom the records of the defendants in this case show lived in New York, who notified Experian or VW Credit of a dispute of an account appearing in their Experian credit files and to whom Experian failed to include the statement of dispute in subsequent credit reports, between October 25, 2017 and the time of judgment in this case.

Plaintiff Shimon Jacobowitz found a fraudulent account on his Experian credit report, around August of 2019, he learned that he was the victim of identity theft. The fraudulent account was with VW Credit, which is named along with Experian as a defendant in this case.

Jacobowitz began disputing the false account. He told Experian that the account was not his and that he had not opened it, and he also advised VW Credit of the fraud.

Experian told Jacobowitz that it had begun an investigation. However, that did not resolve the dispute, so he filed a statement of dispute with Experian on September 4, 2019.

The complaint quotes the FCRA as saying, “Whenever a statement of dispute is filed … the consumer reporting agency shall, in any subsequent consumer report containing the information in question, clearly note that it is disputed by the consumer and provide either the consumer’s statement or a clear and accurat3e codification or summary thereof.”

On October 10, 2019, Jacobowitz again obtained his consumer report from Experian and found that Experian had still not included his statement of dispute in the credit report.

The complaint says that the FCRA outlines “the procedure by which a consumer reporting agency … must abide whenever a consumer disputes an item contained in his or her credit file.” According to the complaint, Jacobowitz has followed the requirements of the procedure on his part, but Experian has not done its part.

Also, the complaint says, “Defendant VW Credit Inc. has promised through its subscriber agreement or contracts to accurately update accounts but VW Credit Inc. has willfully, maliciously, recklessly, wantonly, and/or negligently failed to follow this requirement as well as the requirements set forth under the FCRA and state law…”

Importantly, the complaint says that courts have held “that the FCRA requires furnishers to conduct detailed examinations of the documents underlying customer transactions before responding to inquiries about a customer’s debt, instead of relying on computer databases that provide convenient, but potentially incomplete or inaccurate customer account information.”

Article Type: Lawsuit
Topic: Consumer

Most Recent Case Event

Experian, VW Credit Fraudulent Credit Account Reporting Complaint

October 25, 2019

Identity theft is becoming an ever-larger problem, with the increasing number of data breaches and their increasing size. The complaint for this class action alleges that Experian Information Solutions, Inc. failed to note on a consumer report that an account with VW Credit, Inc. was disputed, and that it thereby violated the Fair Credit Reporting Act (FCRA).

experian_fcra_complaint.pdf

Case Event History

Experian, VW Credit Fraudulent Credit Account Reporting Complaint

October 25, 2019

Identity theft is becoming an ever-larger problem, with the increasing number of data breaches and their increasing size. The complaint for this class action alleges that Experian Information Solutions, Inc. failed to note on a consumer report that an account with VW Credit, Inc. was disputed, and that it thereby violated the Fair Credit Reporting Act (FCRA).

experian_fcra_complaint.pdf
Tags: Credit Reports, Failure to properly investigate/correct errors on credit report, Identity Theft